Amazon?

Discussion in 'Stock Market Forum' started by Rainman, May 19, 2015.

  1. Rainman

    Rainman Senior Investor

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    From the looks of it Amazon is poised for some real growth in the coming years. After opening it's first brick and mortar store inon the campus of Purdue University, Indiana, rumors have it that the online retailer plans to open more stores across the country but when that will be done as yet has not been shared. Do you think it's the right time to buy Amazon stock or would this new venture of theirs make them [Amazon] lose money which in the short term wouldn't be that great for investors?
     
  2. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I recently sold what little I had left after having owned it a couple of years. I've owned it off and on over the last dozen years or so, often with a put option for protection in recent years.

    It's a little rich for me at these levels, but it certainly could continue higher.
     
  3. pwarbi

    pwarbi Senior Investor

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    While I think Amazon will continue to rise, to what extent I'm still not too sure.

    I also feel that it's a bit of a fluctuating market that Amazon are in, and one wrong move could see that price drop considerably.
     
  4. Fredrick Jones

    Fredrick Jones Well-Known Member

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    Amazon should stick with what they are good at doing. They are good at running online stores, not brick and mortar stores. They will have a large learning curve and they will have problems competing with regular brick and mortar stores. One of the reasons why Amazon's online prices are cheaper is because they often do not have the item in stock, but order it when the customer orders. With a brick and mortar store you can not do that.
     
  5. petesede

    petesede Guest

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    Not a huge fan of Amazon. Saturation in the USA and huge costs and risks to expand overseas. They also have Alibaba who is capable of competing evenly in any market outside the USA. Not a lot of growth for a stock that size.
     
  6. egrocket

    egrocket Member

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    Too big of a risk for me. Stocks like these are already so expensive, and to expect them to grow even more is very risky. This year they will try to go oversees; which is a huge risk within itself. The bottom line is that it is a huge gamble, but it could have high rewards.
     
  7. AtlantaSports

    AtlantaSports Senior Investor

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    Were there any other motives for selling?
     
  8. JR Ewing

    JR Ewing Super Moderator Staff Member

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    Not really anything that hasn't been said. I've made lots of money in recent times on some of these high-beta high flyers that earn little or no money yet go up and up in this bull market we've had the last 6+ years. I've recently taken profits on this, NFLX, and a few others here and there. I still own a fair amount of Apple because they earn lots and lots of money AND generate huge revenues.
     
  9. Glcameron

    Glcameron Well-Known Member

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    I truly think amazon has the ability to grow a lot bigger than it already is. There is so much more than being able to create a brick and mortar location. I can send really see myself investing more in a stock if they were to open locations. And I personally think that opening at location at a university is a prime idea when considering the savings as well as the purchase power of students.
     
    Last edited by a moderator: Jul 8, 2016
  10. crimsonghost747

    crimsonghost747 Senior Investor

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    As customers are running from brick & mortar stores to online shopping, I'm not sure how good idea it is for a retailer to do the exact opposite. Haven't looked at amazon too closely though as I prefer a more defensive approach to investing and usually stay away from tech companies.
     

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